Tom and Jerry have two tasks to do all day: make dishes and build fences.If Tom spends all day making dishes,he will have make 16 dishes.If he instead devotes his day to building fences,Tom will build 4 fences.If Jerry spends his day making dishes,he will make 14 dishes; if he spends the day building fences,he will build 7 fences.After looking at the production possibilities for both Tom and Jerry,we can surmise that:
A) Tom has the absolute advantage in the production of both dishes and fences.
B) Jerry has the absolute advantage in the production of both dishes and fences.
C) Tom has the absolute advantage in the production of dishes and Jerry has the absolute advantage in fence production.
D) Tom has the absolute advantage in the production of fences and Jerry has the absolute advantage in dish production.
Correct Answer:
Verified
Q102: The improvement in outcomes that occurs when
Q112: People often choose to specialize and trade
Q113: Tom and Jerry have two tasks to
Q114: Tom and Jerry have two tasks to
Q115: Tom and Jerry have two tasks to
Q118: If France is capable of producing either
Q119: Two countries will choose to specialize and
Q120: Assume that the opportunity cost for Germany
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents